“We are pleased to regain rights for AV-203 as we believe in the
potential of this innovative therapy and are looking forward to
maximizing its value,” said Michael Bailey, chief business officer, AVEO
Oncology. “As stated in our recently outlined strategy, this amended
agreement enables us to seek a partner with established oncology
capabilities that can accelerate and financially support the clinical
development of AV-203.”

In May 2013, AVEO successfully completed a Phase 1 safety study with
AV-203 showing no dose limiting toxicities across the entire dose range
up to and including the maximum administered dose of 20mg/kg. Results
from the Phase 1 study are expected be presented at a scientific meeting
in 2014. CLIA (Clinical Laboratory Improvements Amendment) validation
has been completed for a biomarker for potential patient selection.

In March 2009, AVEO entered into an exclusive option and license
agreement with Biogen Idec Inc. regarding the development and
commercialization of AVEO’s discovery-stage ErbB3-targeted antibodies
for the potential treatment and diagnosis of cancer and other diseases
outside of North America. AVEO retained the exclusive right to
commercialize ErbB3 antibody products in North America. Under the terms
of the amended agreement, Biogen waives its option to rights outside of
North America to AV-203, thereby providing worldwide rights to AV-203 to
AVEO. In exchange, AVEO will have certain financial obligations to
Biogen with respect to amounts AVEO receives from certain development
and sales milestones and royalties on net sales for AV-203.

About AV-203

AV-203 is a potent and selective ErbB3 (HER3) inhibitory antibody
candidate designed to inhibit both ligand-dependent and
ligand-independent ErbB3 signaling. ErbB3 is a receptor that is
typically expressed in many human cancers, and AV-203 has demonstrated
preclinical activity in a number of different tumor models including
breast, head and neck, lung, ovarian and pancreatic cancers.

About AVEO

AVEO Oncology (NASDAQ: AVEO) is a biopharmaceutical company committed to
discovering and developing targeted therapies designed to provide
substantial impact in the lives of people with cancer by addressing
unmet medical needs. AVEO’s proprietary Human Response Platform provides
the company unique insights into cancer and related disease biology and
is being leveraged in the discovery and clinical development of its
therapeutic candidates. For more information, please visit the company’s
website at www.aveooncology.com.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements of AVEO within
the meaning of The Private Securities Litigation Reform Act of 1995 that
involve substantial risks and uncertainties. All statements, other than
statements of historical facts, contained in this press release are
forward-looking statements. The words “anticipate,” “believe,”
“estimate,” “expect,” “intend,” “may,” “plan,” “target,” “potential,”
“could,” “should,” “seek,” or the negative of these terms or other
similar expressions, are intended to identify forward-looking
statements, although not all forward-looking statements contain these
identifying words. These forward-looking statements include, among
others, statements about: AVEO’s advancement of its business strategy,
including entering into new strategic partnerships; AVEO’s plans to
initiate further studies of AV-203 and maximize its value; and the
presentation of study results at scientific meetings. Actual results or
events could differ materially from the plans, intentions and
expectations disclosed in the forward-looking statements that AVEO makes
due to a number of important factors, including risks relating to:
AVEO’s ability to execute on its business strategy and enter into and
maintain new strategic partnerships and collaboration agreements; AVEO’s
ability to successfully enroll and complete clinical trials and
preclinical studies of its product candidates; AVEO’s ability to
demonstrate to the satisfaction of the FDA, or equivalent foreign
regulatory agencies, the safety, efficacy and clinically meaningful
benefit of its product candidates; AVEO’s ability to achieve and
maintain compliance with all regulatory requirements applicable to its
product candidates; AVEO’s ability to obtain and maintain adequate
protection for intellectual property rights relating to its product
candidates and technologies; developments and expenses related to AVEO’s
ongoing shareholder litigation and SEC inquiry; AVEO’s ability to raise
the substantial additional funds required to achieve its goals; adverse
general economic and industry conditions; competitive factors; and those
risks discussed in the section titled “Risk Factors” included in AVEO’s
Annual Report on Form 10-K filed with the SEC on March 13, 2014 and in
its other filings with the SEC. The forward-looking statements in this
press release represent AVEO’s views as of the date of this press
release. AVEO anticipates that subsequent events and developments will
cause its views to change. However, while AVEO may elect to update these
forward-looking statements at some point in the future, it specifically
disclaims any obligation to do so. You should, therefore, not rely on
these forward-looking statements as representing AVEO’s views as of any
date subsequent to the date of this press release.